Breaking the Conflict Trap Civil War and Development Policy

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Breaking the Conflict Trap Civil War and Development Policy A WORLD BANK POLICY RESEARCH REPORT Breaking Public Disclosure Authorized the Conflict Trap Public Disclosure Authorized Public Disclosure Authorized Civil War and Development Policy Public Disclosure Authorized Breaking the Conflict Trap Civil War and Development Policy A World Bank Policy Research Report Breaking the Conflict Trap Civil War and Development Policy Paul Collier V. L. Elliott Håvard Hegre Anke Hoeffler Marta Reynal-Querol Nicholas Sambanis A copublication of the World Bank and Oxford University Press © 2003 The International Bank for Reconstruction and Development / The World Bank 1818 H Street, NW Washington, DC 20433 Telephone 202-473-1000 Internet www.worldbank.org E-mail [email protected] All rights reserved. 1234 06050403 A copublication of the World Bank and Oxford University Press. This volume is a product of the staff of the World Bank. The findings, interpretations, and conclusions expressed herein do not necessarily reflect the views of the Board of Executive Directors of the World Bank or the governments they represent. The World Bank does not guarantee the accuracy of the data included in this work. The boundaries, colors, denominations, and other information shown on any map in this work do not imply any judgment on the part of the World Bank concerning the legal status of any territory or the endorsement or acceptance of such boundaries. Rights and Permissions The material in this work is copyrighted. Copying and/or transmitting portions or all of this work without permission may be a violation of applicable law. The World Bank encourages dissemination of its work and will normally grant permission promptly. For permission to photocopy or reprint any part of this work, please send a request with complete information to the Copyright Clearance Center, Inc., 222 Rosewood Drive, Danvers, MA 01923, USA, telephone 978-750-8400, fax 978-750-4470, www. copyright.com. All other queries on rights and licenses, including subsidiary rights, should be ad- dressed to the Office of the Publisher, World Bank, 1818 H Street NW, Washington, DC 20433, fax 202-522-2422, e-mail [email protected]. Library of Congress Cataloging-in-Publication Data has been applied for. ISBN 0-8213-5481-7 Cover photo: © Peter Turnley/CORBIS Contents Foreword ix The Report Team xiii Acronyms and Abbreviations xv Overview1 Let Them Fight It Out among Themselves?1 What Can We Do about Ancestral Hatreds?3 The Conflict Trap4 The Rising Global Incidence of Conflict5 Nothing Can Be Done6 PART I. CRY HAVOC: WHY CIVIL WAR MATTERS 11 1. Civil War as Development in Reverse 13 Costs during Conflict 13 Legacy Effects of Civil War 19 Conclusion 31 2. Let Them Fight It Out among Themselves? 33 Neighborhood Effects of Civil War 33 Global Effects of Civil War 41 Conclusion 48 PART II. WHAT FUELS CIVIL WAR? 51 3. What Makes a Country Prone to Civil War? 53 Understanding Rebellion 55 The Conflict Trap 79 Conclusion 88 v CONTENTS 4. Why Is Civil War So Common? 93 Changes in the Global Pattern of Civil War 93 Changes in the Incidence of Civil War 98 Unpacking the Global Incidence of Civil War 100 Conclusion: Poverty and the Conflict Trap 117 PART III. POLICIES FOR PEACE 119 5. What Works Where? 121 Conflict Prevention in the Successful Developers 122 Marginalized Countries at Peace 125 Ending Conflicts 140 Reducing Postconflict Risks 150 Conclusion 171 6. An Agenda for International Action 173 Precedents for International Action 174 International Policies for Peace 175 Conclusion: A New Goal for 2015? 186 Appendix 1. Methods and Data 189 Data Set and Model 189 Data Sources 193 Appendix 2. A Selected Bibliography of Studies of Civil War and Rebellion 197 Economic Factors 197 Role of Ethnicity and Nationalism 198 Anatomy of Rebellion 199 Role of the State 199 Negotiation and Implementation of Peace 200 Bibliography 200 References 211 Boxes 1.1 Violent conflict and the transformation of social capital 16 1.2 Refugees and IDPs in Liberia and Sudan 20 1.3 Angola 28 1.4 Psychological trauma 29 1.5 Landmines: A bitter legacy for Cambodians 31 2.1 Regional arms races 34 2.2 Eritrea 40 3.1 Modeling the risk of civil war 58 3.2 Oil and demands for secession in Nigeria 61 3.3 Inefficient counterinsurgency measures in Indonesia 73 3.4 Financing the Chechen rebellion 78 vi CONTENTS 3.5 Modeling the duration of civil war 80 4.1 Recurrent conflicts example 1: Afghanistan 104 4.2 Recurrent conflicts example 2: Angola 105 5.1 A comparison of Botswana and Sierra Leone 127 5.2 Transparency of oil revenues in Chad 131 5.3 The rough diamond trade and the Kimberley process 143 5.4 The Khmer Rouge and the logs of war 145 Figures 1.1 GDP per capita before and after civil war 14 1.2 Total number of refugees, 1962–2002 18 1.3 Increase in mortality rates due to civil war 24 2.1 The flow and stock of refugees, 1951–2002 36 2.2 The stock of refugees and civil wars, 1951–2001 37 2.3 Refugees and cases of malaria, 1962–97 38 2.4 Opium production, 1986–2001 43 2.5 Cocaine production, 1986–2001 43 2.6 Opium production in Afghanistan and heroin seizures in Europe, 1980–2001 45 2.7 Estimates of annual opiate and cocaine use in the late 1990s 45 3.1 Ethnic fractionalization and the risk of civil war 59 3.2 Risk of civil war for the typical low-income country with and without ethnic dominance during a five-year period 59 3.3 Risk of civil wars from natural resources endowment 61 3.4 The risk of civil war in democracies and nondemocracies at different levels of income 65 3.5 Improved economic performance and the risk of civil war 67 3.6 Military expenditures and the risk of civil war 72 3.7 Natural resources and the risk of civil war for low-income countries 76 3.8 How chances of peace evolve worldwide 81 3.9 Duration of civil wars over time 82 3.10 The risk of civil war for a typical civil war country, just before and just after war 83 3.11 Diasporas and postconflict risk 85 3.12 Military spending and the risk of renewed conflict in postconflict countries 86 4.1 The global incidence of civil warfare, 1950–2001 94 4.2 Simulating the effects of the waves of decolonization, 1950–2020 95 4.3 Proportion of civil wars that end each year 96 4.4 The global self-sustaining incidence of civil war, by decades 97 4.5 Factors changing the global risk of conflict 99 4.6 The changing rates of conflict termination 100 4.7 Divergent risks: marginalized countries relative to successful developers 102 vii CONTENTS 4.8 Development of risk of civil war for the marginalized and successful developers, 2000–2020 103 4.9 The conflict trap: risk of civil war relative to a country with no recent war 106 4.10 The conflict trap by type of country 107 4.11 Risk components for marginalized countries in the conflict trap, relative to the same countries preconflict 107 4.12 The conflict trap in 2000: annual flows into and out of conflict 109 4.13a The conflict trap in 2020: annual flows into and out of conflict 111 4.13b The conflict trap in 2050: annual flows into and out of conflict 111 4.14 The incidence of civil war in South and East Asia and in Oceania, 1950–2001 112 4.15 The incidence of civil war in Latin America and the Caribbean, 1950–2001 113 4.16 The incidence of civil war in Eastern Europe and Central Asia, 1950–2001 113 4.17 The incidence of civil war in the Middle East and North Africa, 1950–2001 114 4.18 The incidence of civil war in Sub-Saharan Africa, 1950–2001 114 4.19 The incidence of civil war in Africa and other developing countries, 1950–2001 115 5.1 The contribution to peace of faster growth in the successful developers 124 5.2 The contribution to peace of faster growth in the marginalized countries 135 5.3 The contribution to peace of shortening conflicts 141 5.4 The contribution to peace of successful postconflict policies 151 6.1 The contribution of the policy package to peace 187 Tables 1.1 Major refugee and IDP populations, 2001 19 1.2 Mortality rates among children under five in refugee and IDP camps, selected conflicts 25 1.3 Effects of civil war on public health 26 1.4 HIV prevalence in the military, selected countries and years 27 2.1 Production of opium and coca, selected countries and years, 1990–2001 42 2.2 Prevalence estimates of opiate and cocaine use, selected industrial countries and years 46 3.1 Size of rebel organizations, selected countries and years 55 viii Foreword HY SHOULD THE WORLD BANK FOCUS ON CIVIL WAR? Basically, there are two reasons. First, civil war usually has W devastating consequences: it is development in reverse. As civil wars have accumulated and persisted, they have generated or in- tensified a significant part of the global poverty problem that is the World Bank’s core mission to confront. Part of the purpose of this report is to alert the international community to the adverse conse- quences of civil war for development. These consequences are suffered mostly by civilians, often by children and by those in neighboring countries. Those who make the decisions to start or to sustain wars are often relatively immune to their adverse effects.
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